Automotive News - July 28, 2008 - (Page 24) 24 • JULY 28, 2008 “We averaged about 70 units a month in 2007! In 2008 we are averaging 150 plus vehicles! Yes, even in this market!” Amarillo, Texas Eaton: Supercharger sales will grow The turbocharger has emerged as a key component in automakers’ quest to boost fuel economy. But don’t count out the supercharger, says Joao Faria, 44, president of Eaton Corp.’s Powertrain and Specialty Controls division. Today’s turbochargers are more compact and efficient than most superchargers. But Eaton is spending heavily to improve the supercharger, which also can enable small engines to deliver big performance. The Brazil-born Faria spoke with Staff Reporter Richard Truett. Can the supercharger play a role in shrinking engines and improving fuel economy, or is it best used on high-performance vehicles? We have recently launched a new supercharger called TVS (Twin Vortice Series). It is a four-lobe design. It will be used on the Cadillac CTS-V and Corvette ZR-1. It’s the sixth generation. It has higher thermal efficiency — 75 percent versus 62 percent — than previous superchargers. And it develops more pressure — questionanswer Eaton’s Joao Faria: “It’s not exciting to drive a car if you don’t have power.” about 20 pounds per square inch. What that means is we can use a smaller supercharger, and we can improve the output of the engine at different speeds. Does the supercharger have to run all the time? Yes. But we have some developments under way for variable-speed superchargers that can generate greater performance depending on the speed of the engine. We are very close to having this ready for the market. Can a supercharger work with a gasoline-electric or diesel-electric powertrain? It is very applicable because it allows a very-small-displacement engine. The only way to boost the low-end performance is with a supercharger. Do you envision electrically driven superchargers? We are not working on that for internal combustion engines. Some companies are developing electrically driven superchargers, but we aren’t. We have done some work on electrically driven superchargers for fuel cell vehicles. Why are turbochargers gaining so much market share? Turbo growth in the market is linked to the diesel engine in Europe. For automakers to downsize the engine, it needs to be boosted. Do you expect the market for superchargers to grow? We are expecting to get about 80 percent growth in the next five years. About 70 percent of our new applications will be on downsized engines. Where will the growth come? Different places. We will see growth in Europe, America and Asia, including China. Since turbochargers are experiencing fast growth, will Eaton move into that market? We have no strategy and no intention to enter the turbo market. We have a great position with superchargers. What is the market demand for superchargers? Are automakers coming to you, or do you have to persuade them to take another look? It’s a little bit of both. Lots of customers come to us because they are looking to downsize engines and deliver the same output when they go from, say, a V-6 to an inline four. It’s not exciting to drive a car if you don’t have power in the low end. c Fla. appeals panel overturns class status in Kia brake suit Eric Freedman freedma5@msu.edu Spend Less - Get More! Affordable Easy-To-Use “ Perfect for the dealer who has grown too big for Autosoft and Adam or needs to replace their R+R or ADP System” Sandi Jerome Editor Digital Dealer Dealer Management Suite ACCESS® . Windows Based . NO LONG TERM CONTRACTS 1-800-227-8187 Prompt 5 www.ACSaccess.com A Kia owner cannot pursue classaction claims in a breach-of-warranty suit alleging that the brakes in 19992001 Kia Sephias were defectively designed, the Florida Court of Appeal has ruled. The court overturned a state lower court judge who had granted class-action status on behalf of Florida buyers and lessees of almost 18,000 Sephia small cars. Defense lawyer Fredrick McClure, of Tampa, said the decision means that plaintiff Yvonne Butler and other lessees or owners will have to pursue claims in individual lawsuits. But plaintiff lawyer Michael Donovan, of Philadelphia, said Florida plaintiffs are likely to push their request for class status in a pending federal court case that has been awaiting the Court of Appeal ruling. In its unanimous decision, the Florida appellate court cited significant component and design changes in the performance of Sephia front brakes over the three model years, as well as the lack of a “reasonable methodology” to prove the amount of damages to which each buyer or lessee could be entitled. Faulty brakes on a 2000 Sephia sparked a design defect lawsuit against Kia. Class dismissed Issue: Should class-action status be retained in a lawsuit filed by a Kia owner who claims a design defect on 1999-2001 Sephias causes premature brake wear? Outcome: Appeals court says no. The Court of Appeal also said claims must be individually determined because of differences in the possible causes of brake problems. It also noted that many owners “long ago achieved satisfaction through less cumbersome mechanisms provided by state and federal law.” Parties’ reactions ticular, the suit alleged that a design defect caused premature wear of the front brakes and that the vehicles fail to meet a market brake-wear expectation of 20,000 to 30,000 miles. Kia denied any defect. A Florida circuit court judge granted class-action status. In overturning that decision, the three-judge appeals panel said Butler “has sought to portray the class as a large, unified group that has suffered a uniform, collective injury. The evidence, however, demonstrates that the brake systems in the three Sephia models are far from uniform.” In an opinion by Judge Frank Shepherd, the court noted that warranty repair rates dropped from 78 percent for the 1999 model to 8 percent for the 2001 model. “It is therefore scientifically and logically impossible to conclude that any performance issues for these three model years were the result of a common design,” the court said. Plaintiff lawyer Donovan said there was no safety recall mandated by the National Highway Traffic Safety Administration, but Kia had instituted a customer satisfaction program for owners whose brakes required three or more repairs. He also said the decision is inconsistent with class certification in two Pennsylvania and New Jersey cases in which Kia lost jury verdicts and with Kia’s stipulation in California litigation. Kia lawyer McClure told Automotive News that “Kia had gone through constant product improvement” in response to demands of the U.S. market, which Kia had just entered. He also said class-action status is inappropriate because of differences in how owners and lessees drive and maintain their vehicles, affecting brake life. Even two drivers from the same household don’t drive the same vehicle “exactly the same way,” he said. The appellate court didn’t address the merits of the defect allegations. c The dispute Butler bought a new Sephia in 2000. During the warranty period, she had brake work done twice by the dealership and twice by a service station, the decision says. The dealership also replaced the front rotors twice. Shortly after she sued Kia Motors America, Butler brought the car to the dealership a third time. The front rotors and pads were replaced at her expense. The lawsuit sought damages under the Magnuson-Moss Warranty Improvement Act and state unfair-trade practices and warranty laws. In par- ACS ACCESS: The Complete DMS Automotive Computer Services, Inc. - Mobile AL http://www.davididlewis.com http://autonews.com http://www.forcemediagroup.com http://www.forcemediagroup.com http://www.ACSaccess.com http://www.ACSaccess.com
Table of Contents Feed for the Digital Edition of Automotive News - July 28, 2008 Automotive News - July 28, 2008 A scared-stiff industry stomps on the brakes No-lease edict stuns Chrysler dealers Hummer: Bonuses, buyouts Amid the gloom, Mercury celebrates Ford banks on Mulally's small-car plan PACE awards open for innovative suppliers GM expands employee discount plan through July American Axle blames strike for big quarterly loss Mercedes expects U.S. sales to fall; B class may come in 2011 Chevy plans new U.S. subcompact by '11 GM or Reynolds? Dealers must decide now Ralph Kisiel Ghosn: It's wrong time for a new partner GM geniuses turned their auto dreams into realities Dealers fresh out of Mini Coopers Chrysler, Ford, Honda top NAACP report card GM alters bonus for dealers who outperform their region Automakers angle for Chrysler's idle engine plant Chrysler revokes franchises in Pa. Sonic-Mercedes case could allow big dealers to add stores Buick's new LaCrosse It's still true: Product is king Still a bad idea NHTSA's Nason is leaving some big jobs undone Don't advertise them until they're on sale Safety matters much more than mpg Chrysler's no 'fuel economy laggard' $4 gas won't turn the U.S. into Europe For Europeans, America still spells opportunity Challenges travel with OnStar to China Personnel Mexico sales rise 1.2% in June Picture this Europe's worst sales result? Toyota Kia spends big to launch Borrego Kia launches Borrego just as SUVs lose favor Detroit 3: Goodbye, bailouts Dealers Eaton: Supercharger sales will grow Fla. appeals panel overturns class status in Kia brake suit Audi certified push pays off Used-car rule goes to the shop for tuneup Big-truck prices take a tumble in June Automaker tax break piggybacks on mortgage bill Honda rides high in 2nd-quarter rankings Ford Credit takes a hit as truck values fall 100 years of the Tin Lizzie Lamborghini profit soars AutoNation net income falls GM names CFO for N.A. TI Automotive unit will move Mercedes to cut Ala. production Fleming was a consummate newspaperman Toyota plans to raise Prius output A dart for Smart Tesla gets good reviews at Bentley 422 hp — and, uh, easy at the pump Ford's 2nd qtr: The reddest ink ever Bill Gates joins the car-dealer club Detroit 3 should put Mini under the microscope What's a Gov. to drive? Automotive News - July 28, 2008 Automotive News - July 28, 2008 - Hummer: Bonuses, buyouts (Page 1) Automotive News - July 28, 2008 - Hummer: Bonuses, buyouts (Page 2) Automotive News - July 28, 2008 - American Axle blames strike for big quarterly loss (Page 3) Automotive News - July 28, 2008 - GM or Reynolds? Dealers must decide now Ralph Kisiel (Page 4) Automotive News - July 28, 2008 - GM or Reynolds? Dealers must decide now Ralph Kisiel (Page 5) Automotive News - July 28, 2008 - GM alters bonus for dealers who outperform their region (Page 6) Automotive News - July 28, 2008 - GM alters bonus for dealers who outperform their region (Page 7) Automotive News - July 28, 2008 - Buick's new LaCrosse (Page 8) Automotive News - July 28, 2008 - Buick's new LaCrosse (Page 9) Automotive News - July 28, 2008 - Buick's new LaCrosse (Page 10) Automotive News - July 28, 2008 - Buick's new LaCrosse (Page 11) Automotive News - July 28, 2008 - Chrysler's no 'fuel economy laggard' (Page 12) Automotive News - July 28, 2008 - Chrysler's no 'fuel economy laggard' (Page 13) Automotive News - July 28, 2008 - For Europeans, America still spells opportunity (Page 14) Automotive News - July 28, 2008 - For Europeans, America still spells opportunity (Page 15) Automotive News - July 28, 2008 - Personnel (Page 16) Automotive News - July 28, 2008 - Personnel (Page 17) Automotive News - July 28, 2008 - Picture this (Page 18) Automotive News - July 28, 2008 - Picture this (Page 19) Automotive News - July 28, 2008 - Europe's worst sales result? Toyota (Page 20) Automotive News - July 28, 2008 - Europe's worst sales result? Toyota (Page 21) Automotive News - July 28, 2008 - Detroit 3: Goodbye, bailouts (Page 22) Automotive News - July 28, 2008 - Dealers (Page 23) Automotive News - July 28, 2008 - Fla. appeals panel overturns class status in Kia brake suit (Page 24) Automotive News - July 28, 2008 - Fla. appeals panel overturns class status in Kia brake suit (Page 25) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 26) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 27) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 28) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 29) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 30) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 31) Automotive News - July 28, 2008 - Big-truck prices take a tumble in June (Page 32) Automotive News - July 28, 2008 - Honda rides high in 2nd-quarter rankings (Page 33) Automotive News - July 28, 2008 - 100 years of the Tin Lizzie (Page 34) Automotive News - July 28, 2008 - Mercedes to cut Ala. production (Page 35) Automotive News - July 28, 2008 - Toyota plans to raise Prius output (Page 36) Automotive News - July 28, 2008 - Toyota plans to raise Prius output (Page 37) Automotive News - July 28, 2008 - What's a Gov. to drive? (Page 38) Automotive News - July 28, 2008 - What's a Gov. to drive? (Page 39) Automotive News - July 28, 2008 - What's a Gov. to drive? (Page 40) Automotive News - July 28, 2008 - What's a Gov. to drive? (Page 41) Automotive News - July 28, 2008 - What's a Gov. to drive? (Page 42)
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